OGCbuying.solutions, a trading arm of the UK Office of Government Commerce, has signed a new memorandum of understanding with SAP to secure preferential pricing arrangements on SAP software and services for all public sector organizations.
The agreement came into effect on January 1, 2007 and will deliver potential savings of GBP45 million over its three-year duration. As part of the memorandum of understanding (MOU), SAP has offered discounts on software based upon purchase order value, with additional discounts made available in recognition of the total government spend with SAP.
In addition, SAP has become the first of the UK government’s strategic software suppliers to offer full license transferability, allowing qualifying public sector organizations to transfer licenses between government departments.
OGCbuying.solutions said that this will ensure the UK public sector can maximize the use and deployment of SAP software as it reconfigures its organizations business models to better serve UK citizens. Such transferability will also support the UK government’s move to shared services.
Under the MOU, SAP has also included a further option for public sector organizations to enter into an enterprise license agreement, which will attract further enhanced discounts.